The Rating (Former Agricultural Premises and Rural Shops) Act 2001 has introduced a rate relief scheme which provides mandatory 50% rate relief to all new small-scale non agricultural businesses on farms for a period of five years from 15 August 2001. To qualify, properties must have been in agricultural use for at least half of the year (defined as 183 days) before the Act came into force on 15 August 2001 and have a rateable value of £6,000 or less.
To enable the council to determine whether the property qualifies for mandatory relief it must be satisfied that the qualifying criteria of former agricultural use for the required period has been met. The application therefore will need to include full details of the use of the property for the year before 15 August 2001, no matter when the property first became subject to rates.
Examples
(1) The premises were continuously used for agricultural purposes until 1 March 2001 when conversion of the building for its new use started. The new enterprise started on 4 May 2001.
The relevant period of agricultural use is 15 August 2000 to 28 February 2001, a period of 198 days. Relief under the Act could therefore be given from 15 August 2001 (the occupier is still be subject to the full rates charge from 4 May 2001 to 14 August 2001 because the Act only came into force on 15 August 2001).
However if the property was not in agricultural use for all of the time until 1 March 2001 and the number of days of agricultural use fell below 183 in the year prior to 15 August 2001 no relief at all can be given.
(2) The premises were in continuous agricultural use until 30 May 2001
when conversion to its new use started. The new enterprise started 22
August 2001.
The relevant period of agricultural use is 15 August 2000 until 29 May 2001, a period of 258 days. Mandatory relief can therefore be given from 22 August 2001.
Again, if the number of days the property was in agricultural use before 15 August 2001 was actually less than 183 (ie. the premises were in agricultural use for only part of the time) no mandatory relief could be given.
It is essential therefore that you provide full details because only
then can the council consider the application.
Please click here for an application form which can be completed on-line or by hand. The form needs to be printed, signed and returned to us.
The current discretionary relief scheme for properties in designated villages is not effected by this new legislation. Any applications for discretionary relief will be considered separately, for which a further application must be made.
If you require further information please contact the Non-Domestic Rates Section:
Telephone: 01304 872195
Fax: 01304 872104
Address: Non-Domestic Rates Section, Revenues and Benefits
Division, Dover District Council, White Cliffs Business Park, Dover, Kent CT16
3PJ
E-mail: nndr@dover.gov.uk
